All Forum Posts by: Cody Campbell

I’d like to hear about Big NO money down deals. I have done several no money down projects.

My biggest NO money down deal was a property with 2 houses/structures on them. I bought, rehabbed, and refinanced with absolutely no money on my end. I actually walked away with 30k in hand to start my next deal. 

Purchase: 20k

Rehab: 260k

Units: 4 

Monthly Rent: $3,200

So what’s your biggest NO money down deal?

@Javen Wilson

This can be done, and yes they are trying to get you to click on their link. 

A quick run down is you use other people’s money to buy and rehab and when you go to refinance it you are able to pay them back plus interest and you have no money in it. 

My model is just this. Buy with cash (other peoples money) rehab and then refinance. The beauty of this is because it’s all cash there is no wait time or “seasoning” to refinance. You can do it this way in as little as 30 days. 

Hope this helps 

@Yonah Weiss

Yes I have 3 total, all in nursing and my Masters degree allows me to do nurse anesthesia. Does it help my investing? Yes, my income allows banks to be more apt to loan me money for deals. Over the years I've built a 100k unsecured line of credit that I use to do BRRRR.

@Waleep Alvi

Flood insurance is usually something the bank needs if the property is in a flood zone. I have had friends denied flood insurance because they do not live in a flood zone. Kinda crazy, but I would get a quote and see if it wrecks your numbers or if it’s feasible.

@Travis Taite Ive done this exact deal almost. Your rents are higher. You should be able to buy these with cash, find a hard money lend to lend it for 30-60 days. With these rents that are in place they should appraise above purchase price. Example: 3 duplexes at 40k each means you need someone to lend you 120k for 30-60 days, give them a great rate like a flat 4% for 30 days or 6% for 60 days. This will allow you to buy the properties, and since on paper you own them outright you can walk into a local bank and refi them as is. With the purchase price at 120k and highest interest paid to lender at $7,200 all you need is for the properties to appraise at 159k or above, and with those rental rates you shouldn't have a problem getting that appraisal. 

@Michael Lloyd Find a 150k multi family and house hack. A duplex, triplex, or quad if possible. You save on rent/mortgage and cash flow comes in. 

The fastest way to do a BRRRR is to initially buy and rehab with money that does not come from the bank (some sort of hard money lend or personal loan not tied to the property) As soon as you buy property with cash, you begin rehab ASAP so have that lined up as well, start building relationships with local contractors. As soon as rehab is done you walk into the bank you want to use, again get that relationship built as well, and refi the property. You should be able to pull all your expenses out and then do it again.

Ive done this in one area and the local bank knows how I operate so I have a 100k line, unsecured, to do this with. The fastest BRRRR I have done is 30 days. Bought 3 duplexes with are money lend, put a roof on one of them, made sure tenants had new leases in place and walked into the bank and relied them all on one note. We were able to pay back the HML with interest, pay for the roof, closing costs, and we were left with 12k cash out that went into our pockets...later used to rehab a couple of the bathrooms.

It is also possible to BRRRR without rehabbing as well. You can find a wholesale deal or off market deal buy with cash walk into the bank and hope it appraises 20% higher than your purchase price...you can do this by knowing your market and comps that are near by.

Hope this helps

“Cash flow” is what Is left after you pay: mortgage, insurance, taxes, and capital expenditures (savings for the big stuff)

@Mike Rodriguez yes...generally 100-200 cash flow per door is a good number to shoot for. 

@Justin Wroblewski Also, where in the world can you get a 33k house and it rent for $925!?!?!?!? Thats awesome.